Work Till Physically & Mentally Fit

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Probably they might as well officially retire him at some age and reengage him as Consultant or some such designation suitable on a fixed term contract. So that he might even qualify for EP and gratuity which if invested in good portfolio would be addl.income for him. Ofcourse this might deny PFEmployer's contribution if eligible.
kumar.s.

Dear All,
In my organization I am also facing same problem. As a HR I had tried my best to cja
Change but management didn't supported. Does it would be a problem if labour officer ever visited here.
Regards
Tupai

I believe that the employees of said organization are covered under Payment of Gratuity Act. Please check the deed your organization has signed with the Insurance company as the age retirement is the most important clause of the deed witout which a deed can not signed.
If age of retirement is mentioned in the deed then that documnet will have a final say on the matter.
regards,
Kamal

An employer cannot retire an employee at a certain age unless it is stipulated in an agreement or standing orders or servcie rules.Therefore unless an employee agrees to resign on his own, he needs to be continued subject to his being medically fit. However an employee may agree to resign if the empoyer can approach the employee with an offer to engage him as consultant.Otherwise, any unilateral decision to retire an employee will be squarely covered by retrenchment as Madhu said.
B.Saikumar
Mumbai

Dear Kprasoon
Your clue to retire an employee is interesting.However the age of retirement is a condition of service and thus will be the subject matter of contract between the employer and employee and can not be a subject matter of an agreement between the employer and third parties.It also implies that if the employer and the employees cannot agree upon any servcie condition, the employer can indirectly control tand regulate the servcie conditions of the employees by entering agreements with third parties which is unknown to servcie law and industrial law.Nevertheless, I appreciate the effort on your part to look for helpful solutions.
B.Saikumar
HR & Labour Law advsior
Mumbai

Dear B.Saikumar,
I agree with your views on the matter that conditions of employer's agreement with a third party can not be enforced on the employee.
To maintain the transparency on serivce rules and regulations, we in our organization, give a document (duly signed by the authorized person) having basic information about our gratuity policy to the new entrants at the time of joining. We also take the acceptance of the same by the new entrants.
As such, that document becomes a part of service condition acceptable by both the parties.
In basic info we give details like eligibility for gratuity, how gratuity is calculated, what all will be considered as basic salary, what will be the age of retirement etc.
regards,
Kamal

I too agree with Madhu ji.
Still I wish to draw your kind attention to one very old case in which Supreme Court in GM Talang and others Vs. Shaw Wallace relied upon the report of Norms Committee. According to the Norms Committee, the age for retirement for workmen in all industries should be fixed at 60.

In many small organizations appointment orders are not given.They may not be covered under SO or model SO.In such organizations retirements will result in retrenchment.Such organizations are reminded to have appointment orders/contract of appointment with the employees which shall contain all terms and conditions specifically the age of retirement.
VARGHESE MATHEW
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